Zuora Posts Narrower-Than-Expected Quarterly Loss, In-Line Outlook

Zuora  (ZUO) - Get Report, the producer of systems that enable companies to manage subscription businesses, reported a narrower fiscal-fourth-quarter loss on 13% higher revenue.

The results were stronger than Wall Street analysts had estimated. The company's fiscal-first-quarter outlook is in line with expectations.

For the quarter ended Jan. 31, the Redwood City, Calif., company's loss narrowed to 16 cents a share from 21 cents a share in the year-earlier quarter. The latest adjusted loss was 2 cents a share. Shares outstanding rose 6% to 119.9 million.

Revenue reached $79.3 million from $70.4 million.

A survey of analysts by FactSet produced consensus estimates of an adjusted loss of 5 cents a share on revenue of $76.1 million.

At last check after hours, Zuora shares were trading 0.4% lower at $15.15. They closed regular Thursday trading up 6% at $15.21. Through the regular trading close, the stock is off 15% from its 52-week high of $17.79. Almost exactly a year ago, the stock was a bit above $6.

Zuora's founder and chief executive, Tien Tzuo, said the company finished the fiscal year strongly and exceeded expectaions.

Among the company's key metrics for the quarter: 676 customers with annual contract value of at least $100,000, up 8% from a year earlier.

At Jan. 31, Zuora had cash, equivalents and short-term investments of $186.6 million.

For the fiscal 2022 first quarter, Zuora estimates a net loss of 3 cents to 4 cents a share on revenue ranging from $78 million to $80 million.

The consensus estimates in FactSet's survey of analysts was an adjusted loss of 4 cents a share on revenue of $79.4 million.

In mid-January Zuora appointed Sri Srinivasan chief product and engineering officer. His resume includes tenures at Cisco  (CSCO) - Get Report and Microsoft  (MSFT) - Get Report, helping those companies develop software-as-a-service.